The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1887-12-28
ON THE TARIFF.
The Situation Ably Discussed and AuaIsz;d
by Henry Wsttsrson.
His Opinion OF Blaineism and Georgeism-
Tariff for Revenue Only Wanted
"A Striking Paper.

Following closely and IN good season af-
ter the Presidents earnest plea for tax re-
form, Harpers Magazine supplements the
executive message with paper from
Henry Watterson, expounding and advo-
eating the policy OF Tariff for Revenue
Only" The devotees of high protection
and surplus will have their innings next
month.
tuckian deprecates the muddle into which
this whole question has been dragged. He
shows that the theory OF restrictions upon
trade and commerce is of comparatively
modern Growth. THE war of the Aneri-
can Revolution was the direct consequence
of the policy Of restriction established by
Great Britain over her colonies. and so
with its prescrpti7e rights and preferred
classes, the taxation of the many for the
benefit of the few, that after the establish
ment of the Government OF the United
States England declined our proposal to
institute free trade between the two coun-
tries, In those days 1t was not pretended
that restriction protected the work people.
| 1t was an exclusive preregetive of thea ris-
tocracy, who had no motive to conceal Its
actual operation and effect In securing to
them the full advantage Of the monop plies
they enjoyed by reason of royal favor, in
which the masses OF mankind had no part
or lot"
The Declaration OF independence ar
raigned George flor cutting off our
trade with all parts If the world" and the
whole spirit of the strument breatheG q
fierce protest agai' ST excessive and uu jUet
taxation. After while, however, the
protectionist pclicy crept in with the econ
omic-patTiotic plea of nurturing our infant
| Industries and making us self sustaining
In time of war, Next, it donned the plau-
sibly philanthropic mask of guarding
American labor against the 'pauper labor
OF Europe" Are these high taxes necessary
to enable the manufacturers to compete
with their foreign rivals? Do excessive
taxes and huge surplus guarantee certain
and high wages to the American artisan
III these two queries are to be ans wered ne
gauvely, then the pops are.knocked from
under all the high protective logic. Mr.
Watterson answers both questions in the
negative.
This country has had high protection
for the past twenty-five years-what is the
consequence: Artificial stimulation, high
prices, and plenty Of work, ending with
glutted markets, excessive competition,
discomfort. A tariff commission, composed
entirely OF protectionlsts, few years ago
recommended a general reduction OF % per
| cent. in the war tariff. Then, when the
matter babe fairly to become a campaign
issue, protectionist faction was organized
within the Democracy to set back and an
tagonize the work of reform.
JUSTICE FOR ALL DESIRED.
Referring to the decision OF Richard Cob.
den and John Bright that free trade would
| inaugurate millennium and abolish paup.
erism in England, Mr.. Watterson says:
The truth is that protection in America.
as little as free trade in England, has
wrought what was claimed for 1t and ex.
pected of it by its partisans-to wit, the ex-
linction of pauperism. Nor will thought
full men look to any theory of legislation or
plan of government to do that. As long
as there are inequalities in human char.
acter they will show themselves in human
conditions. The frugal man will save
while the thriftless man wastes his sub.
stance, and to the end of time the rewards
OF sobriety and skill will be set against the
penalties attached to incapacity and sloth.
| All that statesmen can do Is to consider
what is right and what Is best, and con-
trssting opposite policies and systems with
the the assistance OF collected information.
/ follow the Injunction of Paul and hold
that which is good Government is more
or less a compromise. and too much in
wisdom may not be required of it. But
wise and tree men should have care that
its compromises are just to all, and not the
disguised as philanthropists."
Advocates of tariff reform promise no
miracles or impossibilities. The judicious
decrease OF taxes will not extract sunbeams
from cucumbers, but it will inure to the
direct benefit of the people, will derive
revenue from Injuries rather than neces-
saries, will spoil some m0nopolies, and
will do no wrong to honest labor. The
man who imagines that the country can
enrich itself by taxation beyond the just
needs of the government is almost too
fatuous to reason with. How does the I'M
protected American farmer maintain sue
cessful competition with the pauper labor
labor? Why should he pay forced tribute
to some ring or monopoly? OF course he
is told he gets home market for what he
has to sell and a cheaper market for what
he has to buy.
But he does not, because if he had not
exhausted the home market he would have
nothing to send abroad to sell, and If the
home manufacturer could and did under
sell the foreign market, from which the
farmer is excluded by protective duties,
what need would the home manufacturer
have for those dutiesP They are levied to
enable him to make profit against his
foreign rival, and to the extent of his
wants the American farmer must pay the
| difference. Diversified industries
| anu Q.pIlCcU lOOu dlC VIC ICoultc uOb Va
| tariff laws, but of the concentration OF
masses of people at given points favorable
to commerce and manufactures which
spring from the concentration and not the
concentration from them. The protection
| lists confuse cause and effects"
THE FLUCTUATIONS OF PRICES.
Mr.. Watterson quotes an amusing aud
instructive extract from Henry Georges
treatise to elucidate the confusion OF cause
and effect, and then proceeds to discuss the
fluctuations of prices during the pas
twenty-five years, especially the price Of
steel rails.
This steel-rail tax is a perpetual burden
The lowest quotation on British rails in
1886 was $3.50; freight to New Orleans
ST. 25; dockage, etc, 81; duty, sl7; total
$37. 40, allowing nothing for commission
When the American price advanced to $3S
importations increased. As We have seen
there has been an advance in the American
price within the last twelve months of ST.
ton. Should repeal of the tariff result
In decline Of $17, the price would not b
less than it was at one time ia 1886; ye
the decline was not disastrous, while thu
subsequent advance was costly. In thu